China Offshore Drilling Market Overview, 2029

China Offshore Drilling Market Overview, 2029

The process of offshore drilling include extracting petroleum from the under the sea floor, which frequently uses expensive and complex drilling rigs. This industry ultimately contributes to the significantly to the world's production of petrol and oil and making it important to the supply of energy worldwide. This exploration and extraction of underwater resources is made possible by offshore drilling equipment, which are important to this process. The tools which are used like, drillships to mobile offshore drilling units (MODUs), which includes jack-ups and semi-submersibles, all of which are built for varying operational circumstances and water depths. Since beginning in the late 20th century, China's offshore drilling sector has undergone with amazing development. China has made significant progress in enhancing its local capabilities, while in the starting period depending on foreign technology and experience. The founding of the China National Offshore Oil Corporation (CNOOC) in 1982, which has since led the country's offshore exploration and production activities, was the first remarkable turning point. China has advanced from shallow-water drilling to deep-water and ultra-deep-water projects throughout the years, which characterized by advances in technology and more R&D spending. In 2023, offshore sources accounted for over 30% of China's total oil production. This market is expected to keep expanding as new fields are discovered and as old ones are further investigated. There are currently about 70 offshore drilling rigs in China, a combination of drillships, semi-submersibles, and jack-ups. Along with this a few private and foreign companies, state-owned companies like Sinopec and CNOOC are mainly in charge of operating these rigs. The fleet is mostly based in strategic offshore basins such as the Bohai Sea, South China Sea, and East China Sea. There are current initiatives that will expand its reach into more difficult and profound waters.

According to the research report, ""China Offshore Drilling Market Outlook, 2029,"" published by Bonafide Research, the China Offshore Drilling market is anticipated to add to more than USD 3.1 Billion by 2024–29. China's offshore drilling business offers significant possibilities because of a several reasons of several reasons. Deep-sea drilling technology and enhanced oil recovery (EOR) are two examples of how technological improvements in drilling techniques and equipment have opened up new possibilities for productivity and efficiency. Furthermore, China's strategic alliances with multinational oil corporations and its investments in foreign offshore projects are expanding its technical know-how and reach internationally. The transition to sustainable energy sources presents prospects for the integration of offshore wind farms with drilling infrastructure. The offshore drilling market in China is confronted with multiple challenges, even with its positive growth and opportunities. More restrictive safety and environmental requirements are being demanded because of growing regulatory pressures and environmental concerns. Financial risks have been linked to deep-water drilling operations due to their high cost and the volatility of oil prices worldwide. Uncertainty and possible interruption are further added by geopolitical tensions in the South China Sea, a crucial region for offshore drilling operations.

Jack-up rigs are an essential tool in China's offshore drilling sector, particularly for shallow water drilling operations. In order to ensure stability, these rigs include extensible legs that are fixed to the ocean floor, raising the drilling platform above the waterline. Particularly useful at water depths of up to 150 metres are jack-up rigs. The Bohai Bay region, which has substantial shallow-water oil and gas deposits, is where they are most often utilised. Jack-up rigs are quite popular in China since they are stable, affordable, and a convenient option for the vast shallow water fields that are found there. China's offshore drilling activities rely heavily on semi-submersible rigs, particularly in deeper seas. Even in choppy seas, these rigs offer outstanding stability since they float on partially submerged pontoons. Drilling in sea depths of 200 to 2,000 metres is appropriate for them. Due to the South China Sea's deep water and difficult environmental conditions, semi-submersible rigs are frequently employed in China. They are essential to any deepwater drilling project in this region because of their adaptability and stability. Drillships are highly developed, transportable drilling machines that can keep their place without the need for anchoring thanks to dynamic positioning technologies. These vessels are built to function in extremely deep seas, frequently reaching depths of more than 2,000 metres. Drillships are used in the South China Sea's deeper waters by China, where their sophisticated technology and mobility allow them to explore and extract hydrocarbon deposits in ultra-deepwater settings. Drillships are essential for reaching these difficult and isolated offshore locations that are inaccessible to other types of rigs. China's offshore drilling business also includes other types of drilling rigs, such barges and submersible rigs. Submersible rigs are made for intermediate water depths, usually up to 50 metres, whereas barges are mostly utilised for shallow water operations and maintenance duties. Although they are less frequent than drillships, jack-ups, and semi-submersibles, some rigs have specialised uses for which their special qualities are needed. They provide different offshore drilling and maintenance operations around China's coastal seas more freedom. The most popular kind of offshore drilling rig, especially in the Bohai Bay area, is the ack-up rig. The vast shallow water oil and gas deposits in this region, which are ideal for jack-up rig operations, are the reason for their domination.

China divides offshore drilling into three categories based on water depth: shallow water, deep water, and ultra-deep water. Each has unique operating requirements and difficulties. Because shallow water drilling is usually done at depths of less than 500 feet, it is easier to access and requires less complicated logistics, making it comparably less complicated and more economical. This section has been a mainstay of China's offshore exploration, especially in areas like as the continental shelf of the South China Sea and the Bohai Sea, where substantial deposits have been found and exploited throughout time. Drilling in deep water and ultra-deep water, which occurs at depths of 1,000 to more than 5,000 feet, offers access to potentially huge, unexplored deposits but also presents more significant technical and financial obstacles. China has been concentrating more on these areas in recent years, investing in cutting-edge equipment and resources to explore deeper oceans, especially in the South China Sea. The aim to improve energy security and lessen dependency on imports is what motivates this calculated action. Promising hydrocarbon potential has been revealed by intensive geological studies and exploratory drilling in the South China Sea, which has been the site of the majority of China's deepwater and ultra-deepwater drilling efforts.

Considered in this report
• Historic year: 2018
• Base year: 2023
• Estimated year: 2024
• Forecast year: 2029

Aspects covered in this report
• Offshore Drilling Rigs market Outlook with its value and forecast along with its segments
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

By Type
• Flexible Offshore Drilling Rigs
• By Rig Type
• Jack-Up Rigs
• Semi-Submersible Rigs
• Drill-ships
• Others (Barges, Submersible Rigs)

By Water Depth
• Shallow Water
• Deep Water
• Ultra-Deep Water

The approach of the report:
This report consists of a combined approach of primary and secondary research. Initially, secondary research was used to get an understanding of the market and list the companies that are present in it. The secondary research consists of third-party sources such as press releases, annual reports of companies, and government-generated reports and databases. After gathering the data from secondary sources, primary research was conducted by conducting telephone interviews with the leading players about how the market is functioning and then conducting trade calls with dealers and distributors of the market. Post this; we have started making primary calls to consumers by equally segmenting them in regional aspects, tier aspects, age group, and gender. Once we have primary data with us, we can start verifying the details obtained from secondary sources.

Intended audience
This report can be useful to industry consultants, manufacturers, suppliers, associations, and organizations related to the Offshore Drilling Rigs industry, government bodies, and other stakeholders to align their market-centric strategies. In addition to marketing and presentations, it will also increase competitive knowledge about the industry.